Ascendas Reit enters UK with €232.9m logistics acquisition

Oxenwood Real Estate, acting in a joint venture with Catalina Holdings, has exchanged contracts to sell a portfolio of prime logistics properties in the UK to Ascendas Reit for €232.9m (£207m). Completion is expected to take place in August 2018. Oxenwood was advised by DTRE, while Ascendas REIT was advised by Colliers. The deal marks Ascendas Reit entry to the UK logistics market.

The portfolio comprises 12 logistics assets, totalling 2.61 million ft², located in Biggleswade, Rotherham, Runcorn, Stoke-on-Trent, Sheffield, Burton-upon-Trent, Heywood, Scunthorpe, Eastleigh, Newport Pagnell and two sites in South Normanton. The buildings are modern, well specified and in established locations.

Jeremy Bishop, co-founder of Oxenwood, said: “This disposal demonstrates our willingness to exit assets as they mature and provides around €112.5m (£100m) of equity for reinvestment by the Oxenwood Catalina joint venture into more active opportunities. It has generated an excellent return for the joint venture thanks to the timing of the acquisitions of the assets and the application of our asset management skills to regear and extend leases”.

Stewart Little, co-founder of Oxenwood, said: "Catalina was our very first meeting and our very first investor when we launched in May 2014. The sale of the portfolio represents an excellent outcome and an important landmark for the joint venture. Importantly, we are already in advanced discussions on a number of opportunities as we look to recycle the capital returned”.